Dada Nexus Stock Options Expiring on 21st of April 2023

DADA
 Stock
  

USD 5.65  0.64  12.77%   

Dada Nexus' latest option contracts expiring on 2023-04-21 are carrying combined implied volatility of 86.3 with a put-to-call open interest ratio of 0.07 over 10 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on 2023-04-21. The current put volume is at 5, with calls trading at the volume of 197. This yields a 0.03 put-to-call volume ratio. The Dada Nexus option chain provides detailed quote and price information for the current Dada Nexus option contracts. It shows all of Dada Nexus' listed puts, calls, expiration dates, strike prices, and other pricing information.

Open Interest Against 2023-04-21 Option Contracts

Dada Nexus option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in Dada Nexus' lending market. For example, when Dada Nexus' puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on Dada Nexus, he or she must hedge the risk by shorting Dada Nexus stock over its option's life.
The chart above shows Dada Nexus' distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. Dada Nexus' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Dada Nexus' option, there is no secondary market available for investors to trade.

Dada Nexus Maximum Pain Price across 2023-04-21 Option Contracts

Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of particular securities such as Dada Nexus close to expiration to expire worthless. According to most research, approximately 10% to 15% of all stock options are exercised, while about 35% expire worthlessly, with roughly 50% traded out before the expiration date. So, Max pain occurs when market makers reach a net positive position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthless.
Dada Nexus' stock options are financial instruments that give investors the right to buy or sell shares of Dada Nexus common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell Dada Nexus stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If Dada Nexus' stock price goes up or down, the stock options follow.
Continue to Investing Opportunities.
Please note that buying 'in-the-money' options on Dada Nexus lessens the impact of time decay, as they carry both intrinsic and time value. So, even if Dada Nexus' value remains static through the expiration date, the investor can sell to close an 'in-the-money' option to avoid a potential loss. However, in-the-money Dada Nexus contracts are usually more expensive to enter than their out-of-the-money counterparts. So keep in mind that while the payoffs on an in-the-money trade can be high, the investors could ultimately experience a more consequential loss if Dada Nexus Stock moves the wrong way.

Dada Nexus In The Money Call Balance

When Dada Nexus' strike price is surpassing the current stock price, the option contract against Dada Nexus stock is said to be in the money. When it comes to buying Dada Nexus' options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on Dada Nexus are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.

Dada Nexus Current Options Market Mood

Dada Nexus' open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps Dada Nexus Stock's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.

Put-to-Call Open Interest

Put-to-Call Volume

Most options investors, including buyers and sellers of Dada Nexus' calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. Dada Nexus' option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction. Using current Dada Nexus' option volume and open interest to make an investment decision is considered a contrarian-sentiment measure that can be utilized in many timing strategies in both derivative and spot marketplace.

Rule 16 of the current Dada Nexus contract

Base on the Rule 16, the options market is currently suggesting that Dada Nexus will have an average daily up or down price movement of about 5.39% per day over the life of the 2023-04-21 option contract. With Dada Nexus trading at $5.65, that is roughly $0.3. If you think that the market is fully incorporating Dada Nexus' daily price movement you should consider buying Dada Nexus options at the current volatility level of 86.3%. But if you have an opposite viewpoint you should avoid it and even consider selling them.

Dada Nexus Option Chain

When Dada Nexus' strike price is surpassing the current stock price, the option contract against Dada Nexus stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
2022-12-162023-01-202023-04-212023-07-21
Dada Nexus' option chain is a display of a range of information that helps investors for ways to trade options on Dada Nexus. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Dada Nexus. It also shows strike prices and maturity days for a Dada Nexus against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone.
DeltaGammaOpen IntExpirationCurrent SpreadLast Price
Call
2023-04-21 CALL at $2.50.94960.040252023-04-212.35 - 2.82.62In
Call
2023-04-21 CALL at $5.00.61970.14143602023-04-211.05 - 1.151.15In
Call
2023-04-21 CALL at $7.50.31010.1372652023-04-210.3 - 0.50.7Out
Call
2023-04-21 CALL at $10.00.17080.09216132023-04-210.1 - 0.30.21Out
Call
2023-04-21 CALL at $12.50.10990.0636212023-04-210.05 - 0.20.16Out
 Put
2023-04-21 PUT at $2.5-0.08290.04532023-04-210.1 - 0.250.5Out
 Put
2023-04-21 PUT at $5.0-0.40310.1828212023-04-210.5 - 1.11.1Out
 Put
2023-04-21 PUT at $7.5-0.62810.1228502023-04-212.7 - 3.30.0In
 Put
2023-04-21 PUT at $10.0-0.94890.050702023-04-214.6 - 5.40.0In
 Put
2023-04-21 PUT at $12.5-0.94140.042942023-04-217.4 - 7.67.51In

Dada Nexus Investors Sentiment

The influence of Dada Nexus' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Dada Nexus. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.
Investor biases related to Dada Nexus' public news can be used to forecast risks associated with investment in Dada Nexus. The trend in average sentiment can be used to explain how an investor holding Dada Nexus can time the market purely based on public headlines and social activities around Dada Nexus. Please note that most equiteis that are difficult to arbitrage are affected by market sentiment the most.
Dada Nexus' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Dada Nexus' and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Dada Nexus' news discussions. The higher the estimated score, the more favorable is the investor's outlook on Dada Nexus.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Dada Nexus in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Dada Nexus' short interest history, or implied volatility extrapolated from Dada Nexus options trading.

Pair Trading with Dada Nexus

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Dada Nexus position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Dada Nexus will appreciate offsetting losses from the drop in the long position's value.

Moving together with Dada Nexus

+0.98BABAAlibaba Group Holding Buyout TrendPairCorr
+0.84MPNGYMeituan Dianping Repstg Buyout TrendPairCorr
+0.95JDJd Inc ADR Buyout TrendPairCorr
+0.67PDDPinduoduo ADR Buyout TrendPairCorr

Moving against Dada Nexus

-0.64AZOAutozone Earnings Call  This WeekPairCorr
-0.55AZPNAspen Technology Downward RallyPairCorr
The ability to find closely correlated positions to Dada Nexus could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Dada Nexus when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Dada Nexus - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Dada Nexus to buy it.
The correlation of Dada Nexus is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Dada Nexus moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Dada Nexus moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Dada Nexus can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
Continue to Investing Opportunities. Note that the Dada Nexus information on this page should be used as a complementary analysis to other Dada Nexus' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.

Complementary Tools for Dada Nexus Stock analysis

When running Dada Nexus price analysis, check to measure Dada Nexus' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dada Nexus is operating at the current time. Most of Dada Nexus' value examination focuses on studying past and present price action to predict the probability of Dada Nexus' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Dada Nexus' price. Additionally, you may evaluate how the addition of Dada Nexus to your portfolios can decrease your overall portfolio volatility.
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Go
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Go
Analyst Recommendations
Analyst recommendations and target price estimates broken down by several categories
Go
Theme Ratings
Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Insider Screener
Find insiders across different sectors to evaluate their impact on performance
Go
Portfolio Volatility
Check portfolio volatility and analyze historical return density to properly model market risk
Go
Equity Analysis
Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Watchlist Optimization
Optimize watchlists to build efficient portfolio or rebalance existing positions based on mean-variance optimization algorithm
Go
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Go
Analyst Recommendations
Analyst recommendations and target price estimates broken down by several categories
Go
Is Dada Nexus' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Dada Nexus. If investors know Dada Nexus will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Dada Nexus listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Market Capitalization
1.2 B
Quarterly Revenue Growth YOY
0.41
Return On Assets
(0.19) 
Return On Equity
(0.37) 
The market value of Dada Nexus is measured differently than its book value, which is the value of Dada Nexus that is recorded on the company's balance sheet. Investors also form their own opinion of Dada Nexus' value that differs from its market value or its book value, called intrinsic value, which is Dada Nexus' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Dada Nexus' market value can be influenced by many factors that don't directly affect Dada Nexus' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Dada Nexus' value and its price as these two are different measures arrived at by different means. Investors typically determine Dada Nexus value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dada Nexus' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.